Customer Credit Risk on Trade Receivables
First written in FY2018. 4 of 9 entries say "Mitigated", first in FY2023. Latest entry: FY2026.
The whole theme swung hardest in 2026: 19 of 65 companies on the "Worse" side.
- FY2026MitigatedAnnual report
「To address these risks, the Group works to strengthen its credit management system for business partners and takes measures to secure accounts receivable where necessary.」
Strengthening the credit management system and taking measures to secure accounts receivable were specified as responses to trade receivables risk in light of past uncollectible receivable incidents. - 2026-07-13MitigatedRevision of earnings forecastsSuggests it is closing out
「In the second quarter of the fiscal year ended May 2023, the Company had recognized an allowance for doubtful accounts covering the full amount of receivables and other claims against ジェミック株式会社, which suspended operations in October 2022 and began preparing to file for bankruptcy, totaling ¥611 million. During the consolidated fiscal year, the accounting treatment associated with the conclusion of bankruptcy proceedings was finalized, resulting in the reversal of the consumption tax portion of the uncollectible amount being recorded as non-operating income, among other factors. As a result, performance exceeded the previously announced forecast.」
For the ¥611 million in claims against ジェミック株式会社, the accounting treatment associated with the conclusion of bankruptcy proceedings was finalized, resulting in a reversal of the consumption tax portion and a tax deduction. The individual credit matter appears to have been resolved, but this does not indicate that credit risk across trade receivables has disappeared. - FY2024-Q1MitigatedAnnual report
「山下医科器械株式会社, a consolidated subsidiary of the Company, had recorded an allowance for doubtful accounts against the amount expected to be uncollectible from its business partner ジェミック株式会社. Because part of the amount was subsequently collected, the amount collected was recorded as a reversal of the allowance for doubtful accounts.」
Part of the allowance for doubtful accounts previously recorded for receivables from ジェミック as expected to be uncollectible was recovered, and a reversal of the allowance was recorded. - FY2023MitigatedAnnual report
「In light of an uncollectible receivable incident at a core subsidiary during the fiscal year, the Group will formulate measures to prevent recurrence and strengthen its credit and receivables management.」
Following the uncollectible ¥611 million receivable from ジェミック, new measures were identified, including measures to prevent recurrence and the strengthening of credit and receivables management. - FY2023-Q3RestatedAnnual report
「The Company recorded the full amount of its ¥611 million receivable from ジェミック株式会社, for which a decision to commence bankruptcy proceedings was made on 9 November 2022, as the amount expected to be uncollectible.」
The expectation that ¥611 million of receivables from ジェミック株式会社 would be uncollectible following the commencement of bankruptcy proceedings, together with the related allowance for doubtful accounts, was reconfirmed in the quarterly income statement and balance sheet. - FY2023-Q2MaterialisedAnnual report
「The Company recorded the full amount of its ¥611 million receivable from ジェミック株式会社, for which a decision to commence bankruptcy proceedings was made on 9 November 2022, as the amount expected to be uncollectible.」
Following the commencement of bankruptcy proceedings for business partner ジェミック, the full ¥611 million receivable was expected to be uncollectible and was actually recorded as an allowance for doubtful accounts expense. - FY2020RestatedAnnual report
「Notes and accounts receivable, which are trade receivables, are exposed to customers’ credit risk. Under the Group’s credit management rules, the Group manages due dates and outstanding balances for each business partner and maintains a system for monitoring their credit status at all times.」
The credit risk associated with trade receivables, together with the management of due dates and balances by business partner and monitoring of credit status, was reconfirmed as a response measure. - FY2019RestatedAnnual report
「Notes and accounts receivable, which are trade receivables, are exposed to customers’ credit risk. Under the Group’s credit management rules, the Group manages due dates and outstanding balances for each business partner and maintains a system for monitoring their credit status at all times.」
The credit risk associated with trade receivables, together with the management of due dates and balances by business partner and monitoring of credit status, was reconfirmed as a response measure. - FY2018First statedAnnual report
「Notes and accounts receivable, which are trade receivables, are exposed to customers’ credit risk. Under the Group’s credit management rules, the Group manages due dates and outstanding balances for each business partner and maintains a system for monitoring their credit status at all times.」
The credit risk associated with trade receivables from medical institutions and other customers, together with measures under the credit management regulations to manage due dates and balances and monitor credit status, was identified.